Straddle Trader Pro

[missionary]

There has been a lot of publicity about this USA system recently, which appears to have also generated some clones in the UK.

Are there any users on T2W?

No doubt the usual slaggers-off will now vent their spleen at me over such systems, but serious answers will be appreciated. TIA

mish

 

[Pazienza]

Go ahead and spend your money, it will be a cheap lesson for you.

The briefest google search should tell you all you need to know, but if you're determined to waste your money, it's your choice.

 

[missionary]

Did I say I was spending anything?

Did I say I don't have the common sense to do google research?

Don't take the bait till you know which way its swimming my friend.

 

[Pazienza]

Did I say I was spending anything?

Did I say I don't have the common sense to do google research?

Don't take the bait till you know which way its swimming my friend.

So what's the point of your question?

 

[missionary]

The point is to see if others are going this way and trading news etc. as markets are choppy. There is a sudden rise in these systems being offered by backwoodsmen etc. in Europe.

It seems reasonable to get an opinion of who is going that way. No more !

 

[Pazienza]

The point is to see if others are going this way and trading news etc. as markets are choppy. There is a sudden rise in these systems being offered by backwoodsmen etc. in Europe.

It seems reasonable to get an opinion of who is going that way. No more !

OK, well trading news is possible. It's particularly beset by practical problems that often undo ideas that look plausible on paper, but that's just a challenge like any other.

But that's a different thing altogether to paying a few hundred clams for an EA. As always, if it worked, it would be being traded by the inventor and not only sale for $299.

If you want to make news trading work, you need to put in a lot of hard study. Keep your wallet in your pocket and get your charts out.

 

[missionary]

"If you want to make news trading work, you need to put in a lot of hard study. Keep your wallet in your pocket and get your charts out."

Which is what I do, and that makes me curious about the topic.

 

[enragedcow]

"If you want to make news trading work, you need to put in a lot of hard study. Keep your wallet in your pocket and get your charts out."

Which is what I do, and that makes me curious about the topic.

according to the "review" this straddle trader thing takes all the estimates and sprinkles pixie dust to predict market moves from news items.

i like it... but i'd like it better if it were more of a database and logical system that organised the information for the trader to use rather than an EA

as Paz said rather cynically "if it worked the inventor would trade it rather than sell it" a somewhat dubious argument because the aforementioned inventor may derive utility from selling something rather than trading it or may believe that by making a system more public it will become self fulfilling however true these beliefs are by the inventor is irrelevant

i don't think i'd buy it but it's cool how someone's clever enough to program it

 

[missionary]

It was on a 'free trial' for a week for anyone to use and it does not predict, but literally hedges its bets by setting trades above and below the current price just before news time. Then when it spikes it cuts the trade on the opposite side. I think the biggest challenge is to find brokers who will tolerate these EA's.

 

[missionary]

So it seems there are no users here on T2W then, an exclusive group indeed !

 

[traderman1]

It was on a 'free trial' for a week for anyone to use and it does not predict, but literally hedges its bets by setting trades above and below the current price just before news time. Then when it spikes it cuts the trade on the opposite side. I think the biggest challenge is to find brokers who will tolerate these EA's.

There are many variations of this EA out there. And every brokers will tolerate them because the EA doesn't work enough times for it to be profitable for the trader.
It is not complex. It is only a limit buy order and a limit sell order some 30, (or 40, 50 etc) pips away from each other.

The problem with this EA is that, in the lead up and announcement of a news event, the market is very volatile. So it will dive down and pick up the Sell order and then turn and race up. So you now have a Sell trade that is losing and then it hits your Buy order. You have then had your trade closed at the size of the gap (say 30, 40 0r 50 pips) between your Sell order and your Buy order. OR vice versa.
And, because it is a news event, it will happen so fast that you don't even have time to crap your pants.

 

[missionary]

"The problem with this EA is that, in the lead up and announcement of a news event, the market is very volatile. So it will dive down and pick up the Sell order and then turn and race up. So you now have a Sell trade that is losing and then it hits your Buy order. You have then had your trade closed at the size of the gap (say 30, 40 0r 50 pips) between your Sell order and your Buy order. OR vice versa.
And, because it is a news event, it will happen so fast that you don't even have time to crap your pants."

Yes, speed at newstime is always entertaining. I just wonder how these things can set a trade when manually trying to scalp a news item is impossible. It is an OCO order so in theory should not run 2 trades in opposite directions, its also supposed to make something like 7 attempts at lightening speed to get the order in over a micro second or two !

 

[pboyles]

Why do you need an EA to set two limit orders before a news event?

 

[traderman1]

It is an OCO order so in theory should not run 2 trades in opposite directions,

If you use an OCO (One Cancels the Other) order then this system is even less likely to be a winner over time. Because it will dive down and pick up the Sell order and then turn and race up. So you now have a Sell trade that is losing at a very quick rate with no stop in place.
Thats why I am saying that this is NOT a good way to trade.

 

[traderman1]

Why do you need an EA to set two limit orders before a news event?

You don't. Thats why this EA is rubbish.
But that is the EA that Straddle Trader Pro is selling to unsuspecting traders.
It goes to show that vendors package up any kind of sh1t and market it as the answer to all trading problems.